Benchmark Says Q1 Sales Up 15%
ANGLETON, TX -- Benchmark Electronics reported $572 million in sales for the March quarter, up 15% increase from last year.
Net income doubled to $18 million for the period ended March 31. The results include previously announced restructuring initiatives in the Americas, for which the company took charges of about $1.7 million related to capacity reduction and severance costs.
The electronics manufacturing services company said it continues to deal with component shortages, which have been a widespread industry problem since the recovery began in mid 2009.
“We delivered yet another quarter of strong performance despite continued component constraints in the supply chain, which impacted our revenues and inventory levels in the first quarter,” said Cary T. Fu, the company's chief executive officer. "We achieved record new program bookings during the quarter, which are expected to provide a solid foundation for future growth, generating estimated annual revenue at full production of $300 million to $375 million."
Operating margin was 3.7% on a GAAP basis. Cash flow from operations was approximately $6 million. Accounts receivable was $408 million as of March 31, with calculated days sales outstanding of 64 days. Inventory was $362 million; inventory turns were 5.8 times during the quarter.
Benchmark guided for second quarter sales of $600 million to $630 million.
